High performance insulation manufacturer Kingspan has enjoyed a "strong start" to its year, with sales revenue up by 28 per cent, thanks to favourable currency

In a trading update issued on Thursday morning, the insulation specialist said that it had a strong start to the year, particularly in its key UK and North American markets, as it benefited fromy a weaker euro vis-a-vis sterling and the US dollar.

Group sales in the first four months of the year, January to April, rose by 28 per cent (19% pre-currency) up to €719m, while net debt rose to € 398m, an increase of € 273m from the position at last year end, reflecting the acquisition of Joris Ide which was completed in March.

Across Europe, Kingspan said that the UK “is trading well, Germany is solid, and Eastern Europe remains relatively subdued”.

Sales in the North American region were strong in the year to date, “driven by the ongoing trend of penetration growth”.

The group’s insulated panels division reported a 28 per cent jump in sales revenues, “reflecting both penetration gains and in some instances increased market activity”.

Insulation board sales revenues were 40 per cent ahead, “reflecting a strong UK performance, solid activity in mainland Europe, and an encouraging start by the US and GCC businesses acquired late last year”.

Access floors sales revenues were 19 per cent ahead, and environmental sales revenues were up 9 per cent.

Looking ahead, Kingspan said expects a strong first half, given the order backlog across the group.

“The trading result is also likely to benefit from favourable exchange translation in addition to an untypically positive input environment, which will ebb and flow over time.”